Vietnamese president pitches for closer economic ties with India

Saturday, March 03, 2018

New Delhi, 3rd March, 2018: Vietnamese President, H.E. Tran Dai Quang on Saturday invites Indian business communities to invest in his country as it offers conducive environment and sustainable development at a business meeting in New Delhi today.

Addressing a joint meeting under aegis of ASSOCHAM, CII and FICCI, Vietnamese President, H.E. Tran Dai Quang also acknowledged that India continues to be among Vietnam’s top ten trading partners as the bilateral trade turnover has increased 16% per annum on average in the past decade. India has given priority to Vietnam in development cooperation and education and training, and paid attention to promoting bilateral cooperation in science and technology, information and communication, energy, oil and gas, agriculture and tourism.

Dr. Subhash Ramrao Bhamre, Minister of State for Defence said, VietNam is one of the closest partner of India in South East Asian region and is a important neighbor in India’s East. This should not surprise anybody given our historical relationship and our longstanding support for Viet Nam during in its efforts towards unification and complete independence.

Both the nations are now strategic and developmental partners with growing multi-dimensional linkages and the trade figures between the two economies make this clearly evident, said Mr. Bhamre.

ASSOCHAM President Mr. Sandeep Jajodia, Vietnam is an important regional partner in South East Asia and closely cooperates in various regional forums such as ASEAN, East Asia Summit, Mekong Ganga Cooperation, Asia Europe Meeting (ASEM) besides UN and WTO.

Vietnam is the fourth largest trading partner of India among the ASEAN countries and India is among the top ten trading partners of Vietnam. The total trade between the two countries has tremendously increased from US $ 7.8 Billion in FY 2015-16 to US $ 10.1 Billion in 2016-17. Wherein, India’s exports to Viet Nam as well as India’s imports from Viet Nam have increased. India-Vietnam trade the target of USD 15 billion by 2020 seems very much achievable.

Both countries also have active cooperation in the peaceful uses of outer space and atomic energy, science and technology cooperation, cooperation in cyber security and information technology.

There is a need to strengthen logistic services between the two countries. India can also access from Vietnam, many products manufactured in third countries and available at competitive prices and lesser transportation cost.

There are several Indian companies doing business in Vietnam and many more are eager to explore new opportunities. However, to take full advantage of cooperative political relationship and business opportunities available in the two countries, we need to increase and enhance our understanding of local conditions, encompassing all aspects that impact investments and business activities.

Dr Sanjaya Baru, Secretary General, FICCI said, the bilateral trade between India and Vietnam is increasing (by 29.14%, total trade- 10.1 bn USD for 2016-17) and it is purely because of our deep routed relations, ties and connect covering culture, people to people connect, trade, investments, defence and geo-strategic policies. The trade target of US$15 billion, as mentioned in a joint statement of 2016, is very much achievable before 2020 with this magnificent step.

From defence to outer space to cyber security, the cooperation at G2G level is widely covered in a joint statement of 2016, it is now the responsibility of private sector to take leverage of it and join hands to create ventures. Oil and Gas, conventional and renewable energy is another area of cooperation where Indian industries are keen to invest more in Vietnam.

There are other sectors the bilateral fronts like start-up, technology commercialization, artificial intelligence, healthcare, space cooperation and on the multi-lateral front Mekong Ganga Cooperation Business Forum, where FICCI and its members are keen to engage with Vietnam’s industry and institutional bodies, said Mr. Baru.

Our member companies have been engaged with Vietnam in a number of areas especially power and gas, defence, transport and Connectivity, sugar industry, textile machinery, paper and pulp, FMCG among others.

About ASSOCHAM:

ASSOCHAM initiated its endeavour of value creation for Indian industry in 1920. It was established by promoter Chambers, representing all regions of India. Having in its fold over 400 Chambers and Trade Associations, and serving over 4.5 lakh members across India. ASSOCHAM has emerged as the fountainhead of Knowledge for Indian industry, which is all set to redefine the dynamics of growth and development in the Knowledge Based Economy. More information available on www.assocham.org .